(Simple example on make or buy and change of product mix should be taught to clear the application part of marginal costing.)

[5] Budgeting:

(i) Meaning of Budget and Budgetary Control

(ii) Merits and limitations

(iii) Budgeting process

(iv) Elements of a successful budgeting plan

(v) Types of Budget

(vi) Flexible budget and Cash budget (including examples)

(vii) Concept of Zero base budgeting

[6] Standard Costing:

(i) Meaning of Standard Cost and Standard Costing

(ii) Developing or setting standards & revision of standards.

(iii) How tight should standard be.

(iv) Advantages, limitations and application of Standard costing.

(v) Variance Analysis

a. Material Cost Variance

b. Material Price Variance

c. Material Usage Variance

d. Material Mix Variance

e. Labour Cost Variance

f. Labour Rate Variance

g. Labour Efficiency Variance

h. Labour Mix Variance

[B] Structure of Question Paper (Total Marks: 70):-

Question No.

UNIT

Marks

Note

1 (a) & (b) or 1 (a) & (b)

1

10

Theory

2 or 2

2

12

Example

3 or 3

3

12

Example

4 or 4

4

12

Example

5 or 5

5

12

Example

6 or 6

6

12

Example

70

2. Business Statistics (Compulsory)

Objective:

To acquaint the students with the basics of Statistics and to introduce to them the utility of statistical techniques in their day-to-day life as well as to cultivate the capabilities to judge and anticipate the trends in trade, commerce, industry and management.

Unit – 1

Correlation and Regression: [16%]

Meaning and interpretation of co-efficient of correlation, study of correlation between two variables by scatter diagram. Calculation of r by Karl Pearson’s method from grouped and ungrouped data. Rank correlation – Spearman’s and Kendal’s measures. Probable error and interpretation of. Coefficient of determination. Concepts of regression, Principle of least squares, regression lines and regression co-efficient. Use of regression in forecasting.

Causes of variations in time series data; Components of a time series; Decomposition – Additive and multiplicative models; Determination of trend – Moving averages method and method of least squares (including linear, second degree polynomial, and exponential trend); Computation of seasonal variations by the method of moving averages and seasonal indices by simple averages and ratio-to-moving average methods.

Unit – 4

Matrices and Determinants: [17%]

Definition of a Matrix, Types of matrices – Row, Column, Null, Square, Identity, Diagonal, Symmetric and Skew-Symmetric matrix; Transpose of a matrix, Orthogonal matrix; addition subtraction and multiplication of matrices; Determinants and third basic properties (without proof); Calculation of Values of determinants up to third order, Singular and non-singular matrices; adjoin of a matrix; Finding inverse of a matrix through adjoin and elementary row or column operations; Solution of a system of linear equations (for two or three variables only) simple examples.

(A) Money: Functions; Alternative measures to money supply in India – their different components; Meaning and changing relative importance of each; High powered money – meaning and used; Sources of changes in high powered money. (B) Finance: Role of in an economy; Kinds of finance; financial system; Components; Financial intermediaries; Markets and instrument, and their functions.

Unit – 2 [20%]

Indian Banking System: Definition of bank; Commercial bank, importance and functions; Structure of commercial banking in India; Balance sheet of a bank; Meaning and importance of main liabilities and assets; Regional rural banks; Co-operative banking in India.

Unit – 3 [30%]

(A) Process of Credit Creation by Banks: Credit Creation Process; Determination of money supply and total bank credit. (B) Development Banks and Other Non-Banking Financial Institutions: Their main features; unregulated credit markets in India, main feature.

Unit – 4 [10%]

The Reserve Bank of India: Functions; Instruments of monetary and credit control; Main features of monetary policy since independence.

Unit – 5 [10%]

Population Problem: Demographic Theory, Reasons of Population explosion in India, Population policy. Effects of Population on Indian Economy.

Formation of contracts of sale, goods and their classification, price, conditions and warranties, transfer of property in goods, performance of the contract of sales, unpaid seller and his rights, sale by auction, hire purchase agreement.

Unit – 3

Negotiable Instrument Act (1881):

Definition of negotiable instruments, features, promissory note, bill of exchange & cheque. Holder and holder in the due course, crossing of cheque, types of crossing, negotiation, dishonor and discharge of negotiable instrument.

Details of the syllabus : (I) Report writing (Business report : Report by individuals and committees on the following topics) :
(a) Extension of business
(b) Functioning of a firm
(c) Accidents
(d) Decline in the sales of a product
(e) Starting of a new business
(f) Grievances of workers
(g) Inquiry into charges of mismanagements (II) Drafting of advertisements :(a) Drafting of advertisement in not more than 25 words on commercial products.
(b) Drafting of advertisement in not more than 25 words on promotion of sales.(III) Comprehension of daily and weekly stock-exchange report. (IV) Drafting of speeches for the following:(a) Proposing a vote of thanks.
(b)Introducing the chief guest at a function.
(c) Speech at a farewell function.
(d) Canvassing at a union election meeting.
(e) Speech at a condolence meeting.

DESIGN OF THE QUESTION PAPER:

Sections

Subsections

Choice

Marks

Section 1 :

(i) A general question NOT on the WRITER of the work but on the under study.

1 out of 3

10

(ii) TWO short notes on characters or important incidents in the story, theme of title.

2 out of 5

10

Section 2 :

Prepare a questionnaire to survey on the socio-economic conditions.

1 out of 3

10

Section 3 :

Business reports: Individual OR Committee report.

1 out of 2

10

Section 4 :

Draft a news report.

1out of 3

10

Section 5 :

Draft a speech of about 125 words.

1 out of 3

10

Section 6 :

Read the following market report and answer the questions given below.